Telangana Farm Loan Waiver Scheme

Introduction

• There are a number of farmers in the state who have taken agricultural crop loans from various banks.
• Due to various factors, farmers are not able to repay these loan, which increases debt and is also the major cause of suicide.
• Considering the plight of the farmers and to give them a respite from this extra financial burden, the state government has announced a beneficial scheme for them.
• The Telangana government introduced a Farm loan waiver scheme for state farmers.
• The primary objective of the scheme is to waive off farmers' agricultural loans taken from the respective nationalized banks.
• While announcing the Farmer loan waiver scheme, the Chief Minister stated that the farmers with a crop loan up to Rs 2 lakh are eligible for this scheme.
• Whereas, farmers with loans more than two lakh rupees are not eligible.
• Around 70 lakh farmers are likely to benefit with the announcement of Telangana farm loan waiver scheme.
• For this, the government outlay a budget of Rs 31,000 crore.
• Loan waiver benefits will be processed in phase wise manner.
• In the first phase, the government will release loan waiver funds to 11 lakh farmers who had a loan up to Rs 1 lakh.
• These waivers funds up to Rs 1 lakhs will be credited to farmers bank account and will be settled therein.
• In the first phase, the government has already credited Rs 6,098 crore to waive off farmers crop loans up to Rs one lakh.
• In the second phase, crop loans up to Rs 1.5 lakh will be settled by July end.
• Whereas crop loan up to Rs 2 lakh will be waived off by August 2024 in third phase.
• Agriculture department of Telangana is the nodal department of the scheme who has the responsibility to check its implementation across the state.
• To waive off the farmer crop loans, the government has notified that ration cards will be accepted as a proof of their identity.
• However, farmers not possessing ration cards are also eligible for the waiver, and their land passbook will be considered as a proof of their identity.
• To avail the benefits of Telangana farm loan waiver scheme, farmers are not required to submit an application.
• However, farmers need to present their required documents to the concerned bank from where they have taken the loan.

Benefits of Scheme

• Telangana government has decided to waive off the farm loans, where farmers will receive the following benefits :-
  • Waiver funds of Loans up to Rs 1 lakh will be credited to farmers account.
  • Loan up to Rs 1.5 and 2 lakh will be waived off by end of July and August respectively.

Eligibility Criteria

• To receive the benefits of the Telangana Farm Loan Waiver scheme, farmers must fulfill its eligibility criteria which are given as :-
  • Farmers must be native citizens of Telangana.
  • Loan should be taken for agriculture purposes.
  • Loans up to Rs 2 lakh will be waived off.

Documents Required

• Farmers need to produce their following documents to receive the benefits of the scheme :-
  • Ration Card.
  • Loan issuance documents.
  • Identity proof.
  • Land Passbook.

How to apply

• Farmers with a crop loans up to Rs 2 lakh are going to receive benefit from the Telangana Farm Loan waiver scheme.
• However, farmers are not required to submit applications for the Telangana Farm Loan Waiver scheme.
• The government will provide the loan waiver funds to farmers bank account who had a loans up to Rs 1 lakh.
• For other farmers, their loans will be waived off directly by the bank from which they took the loan.
• Farmers can reach out to their bank and for confirmation about the loan waiver.

Important Link

• Telangana Farm Loan waiver scheme Guidelines.
• Telangana Agriculture Department Official Website.

Contact Details

• Telangana Agriculture Department Helpline Number :- 040-23383520
• Ground Floor, D-block
  Fathe Midan, Basheer Bagh
  Near Nizam College
  Basheer Bagh
  Hyderabad
  Telangana 500001